Just got a short sale approved today, can i still get 8000 dollar tax credit?

[Ivan Poon]

Hi Guys,

As i understand it, you have until june 30th to complete the short sale to get the tax credit.

We put in an offer for a short sale (for personal use, not investment) back in march and it got approved only today.

The contract we submitted had the expiration date of the agreement in april, i think, but we decided to stick with it anyway and now it got accepted today (in june). Will that be a problem? I assume we have to do another contract for the final sale.

The tax credit website says we have until the 30th to complete the sale. "Complete the sale" means transfer of title, right? Or is there more?

The bank that approved the short sale was Bank of America (via the equator system) if that makes a difference. So i don't know if there are any other pitfalls i might have.

[Scott Hubbard]

If you are under contract before April 30th and close before June 30th, which means the date of sale and funding, (does not necessarily mean date of recordation) then you will meet the deadline.

To be safe, I would schedule closing at least 24 to 48 hours prior to the 30th just in case. Mistakes can happen especially if your borrowing your funds.